BRAZIL, RUSSIA, INDIA, AND CHINA

Brazil, Russia, India, and China: translation

(BRIC)

   The acronym “BRIC” (Brazil, Russia, India, and China) is used in the international financial community to refer to the four largest emerging markets, that is, economies that lie outside the Group of Seven (G7). The term was first used by international bankers at Goldman Sachs in 2001. None of these countries were part of the so-called First World, but due to the changing nature of international political economy in the post–1989 environment, all these states have emerged as vital components of global capitalism.In each case, these economies have transitioned from high levels of state control to market-based economies in the past two to three decades. Goldman Sachs argued that their combined economic power would eclipse that of the G7 by 2050. When the term was first used, these states did not act in any concerted way to achieve their economic goals; however, this changed by 2008 with the introduction of BRIC summits between the members. Former Russian President Vladimir Putin was the driving force behind the move toward some form of concerted action among the BRIC members. In the wake of the 2008–2009 global financial crisis, the ability of the four nations to achieve common goals has been thrown into doubt due to China’s overreliance on American consumer spending, Russia’s exposure to weakening oil and natural gas prices, and the shift to a G-20 model for economic cooperation since Barack Obama assumed the presidency of the United States.

   See also Economy; Globalization; Medvyedev, Dmitry.